U.S. Attorney Barbara McQuade's office filed a civil complaint that says Justice Diane Hathaway and her husband, lawyer Michael Kingsley, transferred the home in Windermere, Fla., to Kingsley's daughter before seeking a short sale of a home in Michigan.

The short sale allowed Kingsley and Hathaway to erase nearly $600,000 in mortgage debt on a $1.5 million house in Grosse Pointe Park, Mich., which sold for $850,000, according to public records.

The complaint alleges that before submitting a Dec. 10, 2010, hardship letter to the bank in support of their request for a short sale, the couple "systematically and fraudulently transferred property and hid assets in order to support their claim to ING (Bank) that they did not have the financial resources to pay the mortgage on the Michigan property."

The complaint says Hathaway and Kingsley quit claimed the Florida property to Kingsley's daughter. The daughter then quit claimed the property back to them after the short sale.

Hathaway and Kingsley have not been charged criminally. The U.S. Attorney's Office declined to comment on whether she could be charged down the road and noted a forfeiture complaint doesn't necessarily precede criminal charges.

Hathaway's lawyer, Steve Fishman, could not be reached for comment Tuesday night.

Earlier Tuesday, before news broke about the complaint, Marcia McBrien, spokeswoman for the Michigan Supreme Court, said in email that Hathaway told other justices and court staff in an email that rumors of her resignation were untrue.

Chief Justice Robert Young Jr. issued the following statement Tuesday night: "It is a dreadful development to have any sitting judge accused of fraud and money laundering. Justice Hathaway or her lawyer should clear the air and explain these transactions. "